The CBD.fr team has translated the NEW FRONTIER DATA article into French for your convenience… you will find the origin of this article written by Oliver Bennett.
The European cannabis market is less mature than in the United States and Canada, with dispensaries and outlets increasingly emerging in newly legalized territories having become one of the most significant and exciting business trends of the last decade.
What could Europe learn from across the Atlantic? After all, while the American industry has suffered from legal ambiguities arising from a patchwork of nationwide regulations between federal and state laws, Europe has had the opportunity to create a more unified industry, with a growing number of pan-European organizations such as the European Industrial Hemp Association (EIHA), the new European Cannabis Promotion Network (ECAN), and the European Union (EU) itself, which covers 28 of Europe's 44 countries (the latter including Russia and various microstates).
Nevertheless, the European cannabis landscape also remains quite fragmented. Yet, even with the depredations of COVID-19 disrupting continental and global economies, there is still much to attract investors, including the demand from over 740 million people in Europe and across three key markets – medical, lifestyle retail and recreational – which remain chronically unmet, with a third of these markets being largely illicit in the near future.
All of these involve significant stakes: overall, regular European cannabis consumers are expected to spend €62.7 billion (US$68.5 billion) this year (between regulated and unregulated European markets). The European cannabis market alone serves approximately 42.6 million people (5.9% of the population) across its 28 member states.
In addition, Europe has shown a great propensity for CBD ; as New Frontier Data shares in the : Overview 2019 report, 46% of Europeans view CBD favorably, and up to 77% of respondents believe CBD should be accessible in some way. EU CBD Consumers
However, obstacles remain regarding cannabis delivery in Europe. The dispensary model used in the United States and Canada has not been adopted, so medical cannabis tends to be delivered through pharmacies—as well as through social clubs in countries like Spain and Portugal, and on the gray and illicit markets. Recreational cannabis is sold through a limited and compromised group of outlets, including coffeeshops in the Netherlands and a few other decriminalized locations such as Freetown Christiania in Copenhagen, the aforementioned social clubs in Barcelona (and elsewhere in Spain), and, with low CBD content, retail sales of cannabis in Italy and elsewhere.
While some in the United States have looked to the Dutch coffeeshop model as an example of an "experience"-style retail approach to craft breweries (such as splicing cannabis lounges with attached dispensaries), a few cafes in Europe have looked to the North American model for inspiration. A few years ago, the Boerejongens chain in the Netherlands began offering a more upscale environment for enjoying cannabis and seed banking , compared to an Apple Store in style.
In its various forms, CBD in Europe has been widely sold in lifestyle markets, and while most CBD retailers remain online, there is a significant boutique-style market aesthetic (particularly in the wellness and nutraceutical sectors). Even there, complex labeling requirements and a bewildering plethora of brands have led to a rise in select CBD curators such as Handpicked CBD, which emphasize and promote brands with certain advantages (i.e., being organic and pesticide-free).
Other types of retail experiences have also begun to develop in Europe. Since May, Barcelona—a prime location due to its liberal laws and cannabis clubs—has had a branch of Cookies, the North American lifestyle and cannabis brand, with co-founder and CEO (of the unique name) Berner explaining how, “We chose Spain as our first overseas store… Barcelona is a place where cannabis consumers from all over the world gather, and we thought it was a must to open a flagship clothing store.” Although cannabis-themed, it does not sell the drug in-store; Berner expressed hope for a branded cannabis club in the city, indicating his intention to venture into the leisure sector.
There are also delivery innovations in Europe. In Prague, the capital of the Czech Republic, vending machines selling cannabis products have recently been installed, offering oils, tinctures, cosmetics, hemp and CBD edibles, as well as a wide range of cold drinks made with cannabis, hemp, and CBD. This move is driven by a market where half of all Czechs support legalization and show a willingness to try new ideas. In addition to reducing the burden on brick-and-mortar stores, the vending machines also offer anonymity, with compliance measures such as age verification during processing.
While the CBD retail sector is still grappling with the European novel food regulation, it has seen fairly positive developments on the continent, with CBD shops opening in many major cities and a presence in department stores, multiplexes, and online. In the medical cannabis space, there has been some emulation of the North American market, with investments in companies like Love Hemp offering CBD oils, edibles, cosmetics, and vaporizers in UK retail outlets (including Holland & Barrett and WH Smith). The path to achieving market contiguity in Europe has not been easy, but as the pace picks up, retailers on the continent may be on a stronger footing than those in the US.
Editor-in-Chief specializing in CBD
Julien, born on July 17, 1978, in the Paris region, is a prominent writer and expert in the field of CBD products. Following his studies, Julien developed a passion for natural remedies, including CBD. In 2022, he joined the CBD.fr team as an expert and regular contributor. Thanks to his scientific expertise and clear writing style, Julien helps demystify the complexities of CBD, while highlighting its benefits and potential applications through his articles and conference presentations.
